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Euro Drops to a 12-Month Low

By

Don Curren

Updated May 5, 2010 12:01 a.m. ET

The euro plunged to a fresh 12-month low against the dollar Tuesday as investors scrambled for safety on fears that Greece's debt crisis could be spreading to other fiscally troubled euro-zone countries.

Stock markets in the U.S. and abroad fell along with oil prices, while Treasurys and German bonds rallied as investors worried that the €110 billion ($145 billion) aid package won't be sufficient to address Greece's debt load. Investors fretted that Greece's problems could spread to Spain and Portugal, two other euro-zone...